A possible way forward

socrates

I looked at that already.

I currently have 4 with them already. Plus the people I am talking about have over 10 anyway.

BTW what are the rates for that one with Coventry and arrangement fees?

silvercar

socrates wrote: »

I looked at that already.

I currently have 4 with them already. Plus the people I am talking about have over 10 anyway.

BTW what are the rates for that one with Coventry and arrangement fees?

4 yr fixes at 5.25% ( 50% LTV) or 5.75% ( upto 65% LTV) with fees of £1999 and free valuation or SVR of 4.74% (upto 65% LTV), fee free and free valuation. That last rate "is exclusively available to all existing members who wish to either borrow additional funds during their mortgage term or raise additional funds when porting their mortgage". So they do allow increasing the mortgage on a BTL!

carolt

socrates wrote: »

I do not think they would go for that.

What people like Carolt forget is that. If there is property movement/purchases by investors - there is a whole knock on effect.

They are not new BTL pretenders they are experienced LL's with a proven formula - thus the reason why they are mortgage free in the first place.

My idea is already in practise in a way - its along the lines of bridge financing but their rates are ridiculous. The model obviously works it just a case of packaging it.

Oh you're so right. Silly me. What we need is for a few property investors to buy up all the other houses in the UK, so they can make a profit and all their tenants can pay for their life of luxury.

Hmmmm.

Something tells me there's something wrong with this theory too.

And something else tells me that you, as a would be buy-it-all landlord, are utterly blind as to what that might be.

Strange how everyone else doesn't like this picture as much as you do, isn't it?

Doesn't everyone just have your best interests at heart? I mean, what is the rest of the world for but to revolve around you?

Think about it.

socrates

I have thought carolt and I cannot see your point and I dont much care for it. BTL exists, people like you who hate it/them exist.

People who need to rent they exist.

People who make profit they exist

Its all happening around you and there in not a thing you can do about it.

Lets make the best of a bad situation - professional LL's provide a valuable service. No-one does anything for nothing.

Apart from you that is...

Moaning!

dopester

socrates wrote: »

No-one does anything for nothing.

Maybe that is why the lenders don't want to lend to you, on the terms you think you deserve.

They don't want to allow you to MEW to buy even more BTL, when all property is crashing in value, and some believe rents will as well. There isn't sufficient reward in it for the money and risk.

If your idea was so solid, you should be able to raise the money from some source, who share your enthusiasm and optimism for BTL and think they'll profit on the money lent to you.

socrates

How is it the same as mewing - its from Mortgage free properties!

Anyway most idea that are put forward on here are s..t upon.

The people running things so far have not done that well especially the banks.

It they had cherry picked like I suggest we would not be in our current situation

leveller2911

socrates wrote: »

Lol - I knew the BTL haters would love this one!

You mean the vast majority of the general public who have a moral conscience??? Yep that'll be us........:p :rolleyes:

leveller2911

leveller2911 wrote: »

You mean the vast majority of the general public who have a moral conscience??? Yep that'll be us........:p :rolleyes:

If I have a stock market linked ISA , im gambling with MY money, the VAST majority of BTL investors were gambling with other peoples money.There is a difference.It has been said before on here, its immoral to own a number of houses when so many of the country would like to own just one.Take a look at the thread about Furgus Wilson............ok he's big scale but he also "ramped" the market in Kent which priced most FTB,s out...

dopester

socrates wrote: »

How is it the same as mewing - its from Mortgage free properties!

It won't be a mortgage-free property afterwards, if your scheme went through, would it, and the bank lent your landlord 30% on an existing home. No, there would be a mortgage on it.

Although strictly speaking I'm not fully right either, as it isn't/wasn't classified as MEW if you're using the 30% funding to buy another property. Still the same thing in my book though.

Mortgage Equity Withdrawal

Mortgage equity withdrawal (MEW) is new borrowing secured on dwellings that is not invested in the housing market (e.g. not used for house purchase or home improvements). From Q1 2007 this is called Housing equity withdrawal (HEW).

Source: Bank of England

http://www.bankofengland.co.uk/statistics/mew/2005.htm

silvercar

leveller2911 wrote: »

If I have a stock market linked ISA , im gambling with MY money, the VAST majority of BTL investors were gambling with other peoples money.There is a difference.It has been said before on here, its immoral to own a number of houses when so many of the country would like to own just one.Take a look at the thread about Furgus Wilson............ok he's big scale but he also "ramped" the market in Kent which priced most FTB,s out...

It is not gambling it is a business venture. When large companies borrow to fund investment is that gambling?

Is it immoral to sell-to-rent as you are depriving a long term renter of a potential home?